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“Ripple’s XRP A Scam”: Bitcoin Analyst amidst Lawsuit Row

Ripple’s XRP has been on the receiving end of a lot of accusations recently. Not too long back, an amended complaint against Ripple was filed with the SEC, claiming Ripple illegally sold unregistered securities, and are setting up an ugly showdown between the company and it’s investors.

To add more fuel to it, Tone Vays, Bitcoin supporter and cryptocurrency analyst has weighed in on the lawsuit, branding Ripple’s XRP as a “scam” and warning everyone that SEC will bring “Thor’s Hammer” down on the company.

“The SEC is bringing Thor’s Hammer, Come at me XRP Army … your scam coin should never have existed.”, Vays said in his recent tweet.

Vays also plans to get more into the issue in the next episode of his podcast, Bitcoin Law Review.

How will Ripple respond?

Ripple has time until mid-September to come up with a credible response.

“That filing will be the first time in the already-long history of this litigation that Ripple will substantively respond to the allegations around XRP,” said Jake Chervinsky, who is the General Counsel at Compound Finance, a crypto lending startup, told Coindesk.

XRP’s price is currently down around 25% in 2019.

Investor Ryan Coffey filed the first lawsuit last May. It was followed by several lawsuits against Ripple and its chief executive Brad Garlinghouse.

Ripple investors Vladi Zakinov, Avner Greenwald and David Oconer also joined Coffey by filing their own lawsuits.

This week, Ripple had announced Xpring, its new investment arm and gave a 1 billion XRP grant to browser-based payment processing startup Coil for helping them create a community of “creators, consumers, and strategic partners.”

Ripple’s XRP is only third to Bitcoin and Ethereum, with a market capitalization of $11.4 billion.

Abishek is an Entrepreneur, Digital Nomad, Student, and ICO Marketing Manager currently based in Berlin & Champaign. He is actively involved in the Blockchain space and has worked in numerous projects in the Silicon Valley since 2017. His interests revolve around Finance, Consulting, and Blockchain Research.